The principles of contract interpretation and quantum meruit are obviously quite distinct. But in its recent decision CH2M Hill Energy Canada, Ltd. v. Consumers’ Co-operative Refineries Ltd., the Saskatchewan Court of Appeal has reminded us that they also give rise to two very different and separate payment obligations. There cannot be an obligation to make […]

Courts do not often examine the authority of a Consultant on a construction project and the liability consequences if the Consultant oversteps its authority. That issue was recently dealt with by the Queen’s Bench of Alberta in Online Constructors Ltd. v. Speers Construction Inc. A golf club hired a contractor, Speers, to repair a dam […]

Construction Law Canada January 23, 2011 Inducing Breach of Contract – Building Contracts Today we examine the application of the tort of Inducing Breach of Contract to the field of Building Contracts. The New Brunswick Court of Appeal recently dealt with this tort in its decision in SAR Petroleum et al. v. Peace Hills Trust […]

Building Contract-Novation: Novation of a construction contract may occur if: the new debtor assumes complete liability; the creditor accepts the new debtor as principal debtor and not merely as an agent or guarantor; and the creditor accepts the new contract in full satisfaction and substitution for the old contract. On the proper reading of a […]

Construction Lien Claim – Name of lien claimant-Strict Construction: When the owner consented to the amendment of the lien claimant to the name of the corporate plaintiffs and pleaded to that claim admitting that the contract was with the corporation, it could not later rely on strict compliance with the Act and insist that the contract […]